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Corruption
, 2010.]] Political and bureaucratic corruption in India are major concerns. A 2005 study conducted by Transparency International in India found that more than 45% of Indians had first-hand experience of paying bribes or influence peddling to get jobs done in public offices successfully. Centre for Media Studies, [http://www.iri.org.in/related_readings/India%20Corruption%20Study%202005.pdf India Corruption Study 2005: To Improve Governance: Volume I — Key Highlights,] New Delhi: Transparency International India, June 30, 2005. Taxes and bribes are a fact of daily life and common between state borders; Transparency International estimates that truckers pay 5 billion in bribes annually.India: Where Shipping Is Shaky. Businessweek In 2010 India was ranked 87th out of 178 countries in Transparency International's Corruption Perceptions Index. Overview Although former Prime Minister and Congress party leader Indira Gandhi is quoted as saying that corruption is a misuse of power, she also publicly stated "nonchalantly" that "corruption was a global phenomenon" and her government was no different. Successive central governments and members of India's famous Nehru-Gandhi political dynasty have often been accused most of corruption and amassing illegal wealth among India's political class. The year 2011 has proved to be a watershed in the public tolerance of political corruption in India, with widespread public protests and movements led by social activists against corruption and for the return of illegal wealth stashed by politicians and businessmen in foreign banks over the six decades since independence. Criminalization is also a serious problem in contemporary Indian politics. In July 2008 The Washington Post reported that nearly a fourth of the 540 Indian Parliament members faced criminal charges, "including human trafficking, immigration rackets, embezzlement, rape and even murder". India tops the list for black money in the entire world with almost US$1456 billion in Swiss banks (approximately USD 1.4 trillion) in the form of black money. According to the data provided by the Swiss Banking Association Report (2006), India has more black money than the rest of the world combined. To put things in perspective, Indian-owned Swiss bank account assets are worth 13 times the country’s national debt. Independent reports published through 1991 to 2011 calculated the financial net worth of India's most powerful and traditionally ruling family (the Nehru-Gandhi political dynasty) to be anywhere between $9.41 billion (Rs 42,345 crore) to $18.66 billion (Rs 83,900 crore), most of it in the form of illegal monies. Harvard scholar Yevgenia Albats cited KGB correspondence about payments to Rajiv Gandhi and his family, which had been arranged by Viktor Chebrikov,Albats. KGB: The State Within a State. Translated from the Russian by Catherine A. Fitzpatrick. 1995. ISBN 1850439958, ISBN 9781850439950. First edition in 1994, ISBN 0374527385, ISBN 9780374527389. which shows that KGB chief Viktor Chebrikov sought in writing an "authorization to make payments in US dollars to the family members of Rajiv Gandhi, namely Sonia Gandhi, Rahul Gandhi and Paola Maino, mother of Sonia Gandhi" from the CPSU in December 1985.Albats. KGB: The State Within a State. Translated from the Russian by Catherine A. Fitzpatrick. 1995. ISBN 1850439958, ISBN 9781850439950. First edition in 1994, ISBN 0374527385, ISBN 9780374527389. “The recent scams involving unimaginably big amounts of money, such as the 2G spectrum scam, are well known. It is estimated that more than trillion dollars are stashed away in foreign havens, while 80% of Indians earn less than 2$ per day and every second child is malnourished. It seems as if only the honest people are poor in India and want to get rid of their poverty by education, emigration to cities, and immigration, whereas all the corrupt ones, like Hasan Ali Khan are getting rich through scams and crime. It seems as if India is a rich country filled with poor people", the organisers of Dandi March II in the United States said. The Comptroller and Auditor General of India said, “As on March 31, 2010, unutilised committed external assistance was of the order of Rs.1,05,339 crore.” In a most recent example of corruption, even as the Enforcement Directorate (ED) probes US$8 billion worth transactions allegedly involving suspected money launderer Hasan Ali Khan, evidence available with a news source in India shows that he had transactions of over between years 2005 and 2006. This amount is enough to fund the national drinking water project in all the six lakh (600,000) villages in India for the next 10 years.Did ED undervalue Hasan Ali's transactions? : North: India Today History The economy of India was under socialist-inspired policies for an entire generation from the 1950s until the late 1980s. The economy was subject to extensive regulation, protectionism, and public ownership, leading to pervasive corruption and slow growth. License Raj was often at the core of corruption. The Vohra Report was submitted by the former Indian Union Home Secretary, N.N. Vohra, in October 1993. It studied the problem of the criminalisation of politics and of the nexus among criminals, politicians and bureaucrats in India. The report contained several observations made by official agencies on the criminal network which was virtually running a parallel government. It also discussed criminal gangs who enjoyed the patronage of politicians — of all political parties — and the protection of government functionaries. It revealed that political leaders had become the leaders of gangs. They were connected to the military. Over the years criminals had been elected to local bodies, State Assemblies, and even the Parliament. The unpublished annexures to the Vohra Report are believed to contain highly explosive material. According to Jitendra Singh, "in the bad old days, particularly pre-1991, when the License Raj held sway, and by design, all kinds of free market mechanisms were hobbled or stymied, and corruption emerged almost as an illegitimate price mechanism, a shadowy quasi-market, such that scarce resources could still be allocated within the economy, and decisions could get made. ... These were largely distortions created by the politico-economic regime. While a sea change has occurred in the years following 1991, some of the distorted cultural norms that took hold during the earlier period are slowly being repaired by the sheer forces of competition. The process will be long and slow, however. It will not change overnight." One of the major problems and obstacles to development that many developing countries face is corruption by greedy, power-hungry politicians, which is endemic in certain parts of the world. Politics As of December 2008, 120 of India's 522 parliament members were facing criminal charges. Many of the biggest scandals since 2010 have involved very high levels of government, including Cabinet Ministers and Chief Ministers, such as in the 2G spectrum scam and the Adarsh Housing Society Scam. Bureaucracy A 2005 study done by Transparency International (TI) in India found that more than 50% of the people had firsthand experience of paying bribe or peddling influence to get a job done in a public office. Taxes and bribes are common between state borders; Transparency International estimates that truckers pay annually 5 billion in bribes. A 2009 survey of the leading economies of Asia, revealed Indian bureaucracy to be not just least efficient out of Singapore, Hong Kong, Thailand, South Korea, Japan, Malaysia, Taiwan, Vietnam, China, Philippines and Indonesia; further it was also found that working with India's civil servants was a "slow and painful" process.Indian bureaucracy ranked worst in Asia: Survey The Times of India, June 3, 2009. Land and property Officials often steal state property. In cities and villages throughout India, Mafia Raj consisting of municipal and other government officials, elected politicians, judicial officers, real estate developers and law enforcement officials, acquire, develop and sell land in illegal ways.K.R. Gupta and J.R. Gupta, Indian Economy, Vol #2, Atlantic Publishers & Distributors, 2008, ISBN 8126909269. Snippet: ... the land market already stands subverted and an active land mafia has already been created ... Tendering processes and awarding contracts Government officials having discretionary powers in awarding contracts engage in preferential treatment for selected bidders and display negligence in quality control processes . Many state-funded construction activities in India, such as road building, are dominated by construction mafias, which are groupings of corrupt public works officials, materials suppliers, politicians and construction contractors. Snippet: ... The road sector has always been the main source of income for the mafia. They either ask their men directly to grab the contracts or allow an outsider to take the contract after accepting a hefty commission ... a large number of criminals have been grabbing contracts under the protective umbrella of parties like SP, BSP, BJP, as well as the Congress ... opportunity to refurbish the image of his Government by initiating a crackdown on the mafia-contractor-engineer nexus ... Shoddy construction and material substitution (e.g. mixing sand in cement while submitting expenses for cement) result in roads and highways being dangerous, and sometimes simply washed away when India's heavy monsoon season arrives. Snippet: ... this year's rains have destroyed 581 roads in the state with 139 road accidents killing 373 people through 10 August ... they spoke about a road building contractor mafia that pretty much has a lock on many projects for redoing roads—apparently year after year ... Medicine In Government Hospitals, corruption is associated with non availability of medicines (or duplicate/fake medicines), getting admission, consultations with doctors and availing diagnostic services. There have been cases of diversion of medical supplies from government hospitals and clinics as well as supply and distribution of medicines of inferior quality Some hospitals are charging extra amounts from rich people. In India there is an unfair co-operation for medi-insurance companies and hospitals. Income tax There have been several cases of collusion of officials of the income tax department of India for a favorable tax treatment in return for bribes Preferential award of public resources As detailed earlier, land in areas with short supply is relatively common with government entities awarding public land to private concerns at negligible rates. Other examples include the award of mining leases to private companies without a levy of taxes that is proportionate to the market value of the ore . Judiciary According to Transparency International, judicial corruption in India is attributable to factors such as "delays in the disposal of cases, shortage of judges and complex procedures, all of which are exacerbated by a preponderance of new laws". Armed forces The Indian Armed Forces have frequently witnessed corruption involving senior armed forces officers from the Indian Army, Indian Navy and Indian Air Force. Many officers have been caught for allegedly selling defence stores in the black market in the border districts of Indian states and territories. Recent sukhna land scandal involving four Indian Lieutenant Generals has shaken public faith in the country's growing military at a time when large sums are being spent on modernising the armed forces. A string of eye-popping fraud cases has damaged the institution in recent years. The latest Adarsh land scam is another example of the nexus between the armed forces , bureaucracy and the politicians in the embezzlement of government property. Media The role of media in systemic corruption can not be undermined at it shows it involvement through paid news and sometimes unethical support to corrupt. Religious institutions In India, the corruption has also crept into religious institutions. Some of the Church of North India are making money by selling Baptism certificates. A group of church leaders and activists has launched a campaign to combat the corruption within churches. The chief economic consequences of corruption are the loss to the economy an unhealthy climate for investment and an increase in the cost of government-subsidised services. The TI India study estimates the monetary value of petty corruption in 11 basic services provided by the government, like education, healthcare, judiciary, police, etc., to be around . India still ranks in the bottom quartile of developing nations in terms of the ease of doing business, and compared to China and other lower developed Asian nations, the average time taken to secure the clearances for a startup or to invoke bankruptcy is much greater. Right to information act The Right to Information Act (2005) and equivalent acts in the states, that require government officials to furnish information requested by citizens or face punitive action, computerization of services and various central and state government acts that established vigilance commissions have considerably reduced corruption or at least have opened up avenues to redress grievances.Example of a central government department's implementation of the Right to Information Act. The 2006 report by Transparency International puts India at the 70th place and states that significant improvements were made by India in reducing corruption. Transparency International Press release Ombudsmen The LokAyukta is an anti-government corruption organization in the Indian states. These institutions are based on the Ombudsman in Scandinavian countries. An amendment to the Constitution has been proposed to implement the Lokayukta uniformly across Indian States as a three-member body, headed by a retired Supreme Court judge or high court chief justice, and comprise of the state vigilance commissioner and a jurist or an eminent administrator as other members. Social welfare worker Anna Hazare has led a movement to compel the Indian Government to notify the Committee for the implementation of the Lokayukta against corruption as an independent body and also giving enough powers to the Lokayukta to also receive corruption complaints against politicians, bureaucrats and even sitting judges. Anna Hazare has achieved this big success through his non-violence measures like fasting till death at the Jantar Mantar place in Delhi Capital City of India . The public also gave nation-wide support to Anna Hazare in his demand for strong and tough anti-corruption law. Whistleblowers Whistleblowers play a major role in the fight against corruption. India currently does not have a law to protect whistleblowers, which was highlighted by the assassination of Satyendra Dubey. Indian courts are regularly ordering probe in cases of murders or so-called suicide of several whistle blowers. One of the latest case of such murder is of V Sasindran Company Secretary of Palakkad based Malabar Cement Limited, a Government company in Kerala and his two minor children, Kerala High Court ordered CBI probe on 18 February 2011. Initially, CBI showed its unwillingness for probing into such cases citing over-burden as a reason. Anti-corruption police and courts The Enforcement Directorate, Central Vigilance Commission and Central Bureau of Investigation all deal with anti-corruption initiatives. There have been calls for the Indian government to create an anti-theft law enforcement agency that investigates and prosecutes corruption in government at national, state and local levels. Special courts that are more efficient than the traditional Indian courts with traveling judges and law enforcement agents are being proposed. The proposal has not yet been acted upon by the Indian government. Certain states such as Andhra Pradesh (Andhra Pradesh Anti-corruption Bureau) and Karnataka (Lokayukta) have similar agencies and courts. Anti-corruption organizations A variety of organizations have been created in India to actively fight against corrupt government and business practices. Notable organizations include: *5th Pillar is most known for the creation of the zero rupee note, a valueless note designed to be given to corrupt officials when they request bribes. *India Against Corruption is a movement created by a citizens from a variety of professions and statuses to work against corruption in India. It is currently headed by Anna Hazare. *Jaago Re! One Billion Votes is an organization originally founded by Tata Tea and Janaagraha to increase youth voter registration. They have since expanded their work to include other social issues, including corruption. *Association for Social Transparency, Rights And Action (ASTRA) is an NGO focused on grass-roots work to fight corruption in Karnataka. One organization, the Lok Satta Movement, has transformed itself from a civil organization to a full-fledged political party, the Lok Satta Party. The party has fielded candidates in Andrha Pradesh, Tamil Nadu, and Bangalore. In 2008, it obtained its first elected post, when Jayaprakash Narayan won the election for the Kukatpally Assembly Constituency in Andrha Pradesh. Effects of corruption According to a report by KPMG, "high-level corruption and scams are now threatening to derail the country's credibility and its economic boom". See also *2011 Indian anti-corruption movement *Jan Lokpal Bill *Indian black money *List of scandals in India by state *list of scandals in India by year *Corruption Perceptions Index *List of Indian politicians convicted of crimes *License Raj *Mafia Raj *Corruption in Mumbai *Rent seeking *Lok Ayukta *Socio-economic issues in India *United Nations Convention against Corruption References Further reading * * * . * * * * External Links *CIC – The Central Information Commission is charged with interpreting the Right to Information Act, 2005. *DoPT – The Department of Personnel and Training, Ministry of Personnel, Public Grievances, and Pensions, is charged with being the nodal agency for the Right to Information Act, 2005. It has the powers to make rules regarding appeals, fees, etc. Category:Corruption in India ta:இந்தியாவில் ஊழல்